Everything You Need to Know about Microgrids

Microgrids are becoming an increasingly important part of the energy landscape, as they offer several advantages over traditional grid systems. Still, we’re pretty early in the nationwide growth curve of microgrid use; they currently provide just 0.2 percent of US electricity and are primarily concentrated in Alaska, California, Georgia, Maryland, New York, Oklahoma, and Texas.

Still, anyone who takes the time to learn about the potential and benefits of microgrids will quickly understand why the future of microgrid usage is bright. Here’s everything you need to know about microgrids.

What Are Microgrids?

Image source: climable.org

Microgrids are local energy systems that can operate independently from the traditional grid. A microgrid typically contains a mix of generation sources (e.g., solar, wind, natural gas), storage devices (e.g., batteries), and loads (e.g., homes, businesses, and electric vehicles). Microgrids can be used to power a single building or a group of buildings, and they offer many advantages over traditional grid-connected systems.

What Role Do Microgrids Play In Electric Vehicle Charging Infrastructure?

Image source: energy.gov

Microgrids play a vital role in electric vehicle charging infrastructure, providing the clean, reliable power needed to charge EVs. In addition, microgrids can help to optimize the charging process by managing when and how much power is delivered to each EV. This helps to ensure that EVs are charged efficiently and that the grid remains stable.

Challenges Facing Microgrid Expansion

Despite the many benefits of microgrids, some challenges still need to be addressed to reach their full potential. These challenges include:

Funding and Financing

Microgrids can be expensive to develop and implement, and there is a lack of funding and financing options. Microgrids require a significant investment in infrastructure; to build a microgrid, you need to purchase or lease land, install generation sources and storage devices, and connect the system to the grid. This investment can cost millions of dollars.

Technical Challenges

Some technical challenges, such as grid integration and interoperability, still need to be addressed. Grid integration refers to connecting a microgrid to the larger electric grid, made challenging by microgrids’ often remote locations. Interoperability refers to the ability of different devices and systems to work together. This is important for microgrids, as they often contain a mix of generation sources and storage devices from different manufacturers.

Regulatory Barriers

The Federal Energy Regulatory Commission (FERC) has yet to issue regulations specifically for microgrids. Additionally, many states lack the laws or regulations to support microgrid expansion.

Top Benefits of Microgrids

Microgrids improve energy security and reliability. Because microgrids are local energy systems, they are less vulnerable to large-scale outages. In a grid outage, microgrids can operate independently. This is especially beneficial for critical loads, such as hospitals and emergency shelters.

In addition to improved energy security, microgrids also offer other benefits, such as:

Improved Resilience

Microgrids can help improve the electric grid’s resilience by providing backup power during an outage. Notably, the town of Fairfield, Connecticut, switched to a microgrid after 2011’s Hurricane Irene caused almost 1 million Connecticut homes to lose power.

Enhanced Sustainability

Microgrids can help to reduce greenhouse gas emissions and other environmental impacts by integrating renewable energy sources. According to estimates from power-grid.com, microgrids can reduce greenhouse gas emissions from industrial facilities by more than 60%.

Economic Development

Microgrids can spur economic development by attracting new businesses and industries to a region. For example, the Philadelphia Navy Yard now hosts one of the largest private microgrids in the United States, supporting 7.5 million feet of commercial space.